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TMI Blog2014 (9) TMI 733X X X X Extracts X X X X X X X X Extracts X X X X ..... e - The existing business of the assessee is "trading of engines", whereas the new business comprised of "hire purchase and leasing" - there is no common pool of funds for both the businesses – there is no reason to interfere with the order passed by the lower authorities – Decided against assessee. - Income Tax Appeal No. - 399 of 2005 - - - Dated:- 23-9-2014 - Hon'ble Tarun Agarwala And Hon'ble Dr. Satish Chandra,JJ. For the Appellant : R. P. Agarwal,R. R. Kapoor For the Respondent : C. S. C.,B. J. Agarwal ORDER 1. The present appeal is filed by the assessee against the impugned order dated 13.7.2005 passed by the Income Tax Appellate Tribunal, Lucknow in I.T.A. No.807/Luc/2002 for the Assessment Year 1989-9 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te authority as well as before the Tribunal in the second round but the claim of the assessee was rejected. So, the assessee has knocked the door of this Hon'ble Court. 4. From the record, it appears that assessee's firm was deriving income from trading of diesel engines. During the assessment year under consideration, the assessee started a new business in the name and style of M/s Indian Sales Hire Purchase and leasing division. The original source of income of the assessee was in the name of M/s India Sales Division and had a previous year of 22 months and the accounting period was 26th May, 1987 to 31st March, 1989. The assessee has started a new business of hire purchase and leasing in March, 1989. In respect of new business ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cutta 1970 (2) SCC 92; and (v). The Hooghly Trust (Private) Ltd. Vs. Commissioner of Income Tax, West Bengal, Etc. 1961 (1) SCC 535. Lastly, learned counsel for assessee submits that the claim of depreciation may kindly be allowed for 22 months. 6. On the other hand, Sri Dhananjay Awasthi, learned counsel for Department has justified the impugned order. He submitted that both the business of the assessee are not interconnected and there is no common fund. He submitted that the assessee is maintaining two separate bank accounts for each of its business and also prepared two balance sheets; and profit loss account. The funds provided by the assessee's firm to the new business entity was shown as investment in the balance sheet ..... X X X X Extracts X X X X X X X X Extracts X X X X
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